HC directs 4 families to vacate Ghatkopar building for redevpt

Ghatkopar (File photo)MUMBAI: Bombay high court has ordered four families from a dilapidated building in Ghatkopar to vacate their flats by August 31 to make way for redevelopment or face forcible eviction. The court was hearing an application by Vikram Delite housing society in Ghatkopar that the four non-cooperative members were obstructing redevelopment, approved by majority members, and were refusing to vacate their flats.

“It is clear that 62 out of 66 members have supported redevelopment. In fact, 53 members, fearing a threat to their lives and property, have already vacated their flats and are residing elsewhere, for which the developer has been paying a huge sum of money every month towards compensation for alternate accommodation,” said Justice Shahrukh Kathawalla. The court noted that the developer had spent over Rs 8 crore on preparatory work for redevelopment. “The buildings are dilapidated, and because of four non-cooperative members, the entire redevelopment project has come to a halt. The four non-co-operative members being an admitted minority cannot stall or obstruct the redevelopment project as held by this court in several of its decisions. Resolutions passed by majority members at general meetings of the society are binding on non-co-operative members,” added the judge.

The court appointed a court receiver for the four flats and has told the families to vacate the apartments by August 31. If they fail to do so, the court receiver can take forcible possession with police help. The court also directed the developer to execute the agreement with the society within 25 days. It also directed the builder to ensure payment was made for alternate transit accommodation to the 66 families, complete the construction of the new building within the agreed period and provide a bank guarantee of Rs 7.5 crore. The court added that all requirements prescribed under the Real Estate (Regulation & Development) Act, 2016, and the Goods and Service Tax regime, will be incorporated in the agreements.

The society, which consists of four wings and 66 flats, had agreed to redevelopment in 2014. The four who refused to vacate their flats did not challenge any society decisions but raised objections during the court hearing. They argued that redevelopment was being carried out in violation of rules but the court did not agree. “The society and developers have till date conducted themselves in a fair and honest manner. The undertakings given by the society and developer completely protects the interest of all members, including the non-co-operative ones who have left no stone unturned in obstructing redevelopment by unfair and obstinate conduct,” the court held.

The four claimed that the developers did not have the financial capacity to complete the project but the HC found the claims to be false. It pointed out that the developers had spent a substantial amount on the project. They had also offered to buy the four flats. “The concern expressed that the developer will not be able to complete the project as agreed due to lack of funds completely lacks bona fides,” said the court.

Currently, the Goods and Services Tax (GST) is levied at 12 per cent on payments made for under-construction property or ready-to-move-in flats where completion certificate has not been issued at the time of sale.